Sep 12, 2020 16:54 UTC
Sep 12, 2020 at 16:54 UTC
What is Cream, & Why is the Ethereum Coin up over 2,000% from its August lows?
Utmost dispersed finance forks are either contentious or have failed. SushiSwap, which was cleft from Uniswap by a pseudonymous inventor, has come under fire after the founder withdrew millions price of capital he wasn’t supposed to. The forks of Yam, a community governance coin that has himself been the subject of controversy, have withered into insignificance.
Nevertheless, there’s at least one fork that is doing exceptionally well: Cream Finance, whose innate governance token is CREAM.
This Ethereum-based project has done so well that the founder of the project it was forked from, Robert Leshner of Compound has to turn out to be a public supporter of Cream Finance. Concurrently, the CREAM token has surged over 1,000 per cent from its August lows.
What is Cream Finance?
To put it merely, Cream is just a fork of Compound — one of the leading projects in the decentralized finance space. The project saw instant success, securing Leshner, Andrew Kang of Mechanism Capital, and others as multi-signature participants.
The Compound is a money-market protocol that allows users to lend and borrow specific cryptocurrencies like Ethereum or Basic Attention Token.
Dissimilar Compound, which is very controlled with its listing of coins, Cream is focused on building liquidity for a swath of digital assets that the team knows investors want but can’t access through traditional venues.
For example, the platform bids support for yCRV, a certificate for deposits on Curve, CREAM itself, Chainlink, BUSD, SUSHI, FTX’s FTT token, Yearn.finance’s yETH, & a swath of other tokens that investors actively want to transact in but cannot through traditional DeFi platform.
This inclusion of these unique tokens has permitted Cream to garner dozens of millions of deposits just weeks into its lifespan.
An exciting component of Cream is accepting deposits of tokens that are yielding interest. This means that users can complex risk, but also receive more in yields in the process.
Whereas hurled as a fork with a more adaptive listing process, Cream has since expanded its horizons to turn out to be a “full-stack crypto ecosystem with a Balancer Balancer fork & additional products in the pipeline” as Andrew Kang lately explained.
The platform has a fresh product called CreamSwap, which is a decentralized exchange focused on the niche tokens as above-mentioned. Many of the coins reinforced are not available or do not have liquidity on other decentralized exchanges.
Why is the Ethereum-based CREAM reassembling?
Since dropping as low as $9 at the flinch of August, CREAM has blown up higher; the coin today trades for $243, over 2,500 per cent higher than the lows.
The coin appears to be benefiting from its ability to rapidly iterate on Compound’s code, along with product releases.
Andrew Kang also cited that the coin is likely managing to accumulate value due to the unique and compound way that Cream’s products are set up:
“The best part is that if projects that users want to be listed don’t yet have enough liquidity, that liquidity can be bootstrapped through an incentive program on CREAM swap. This allows CREAM to accrue value through the full stack.”